fell 8% Thursday after the water filtration outfit warned that rising costs would hurt its second quarter.
The Pittsburgh-based company forecast second-quarter earnings of around 7 cents a share on $96 million in sales. That's down from the year-ago 11-cent profit on $97 million in sales, and short of the Wall Street estimate. Thomson First Call indicates analysts were expecting a 9-cent profit on sales of $98 million.
Calgon Carbon said rising costs for raw materials, energy, transportation and legal services hit the latest quarter. Including expenses related to Calgon's re-engineering plan, costs rose $3.2 million from a year ago.
The company also said sales were hurt by the postponement of $2 million in awarded municipal contracts for activated carbon for drinking water treatment. Resin service sales associated with perchlorate removal from drinking water didn't rebound as expected, Calgon Carbon added.
"The orders for the municipal market that were delayed are now scheduled to be shipped in the third quarter," CEO John S. Stanik said. "We are aggressively implementing our re-engineering plan to combat escalating costs and improve operating margins, and will make the necessary adjustments to the plan in order to improve future performance."
On Thursday, Calgon Carbon dropped 83 cents to $9.42.